Central Noida vs Greater Noida West: Which is better?
Greater Noida West formerly known as Noida Extension is a part of Greater Noida situated in Gautam Budh Nagar which is 25 km from Noida. Greater Noida West formerly Noida extension is a pre-planned township and administered by Greater Noida Authority. Sector 1, 2, 3, 4, 16C, 16B, 10, 12 and Knowledge Park V falls under Greater Noida West. It offers affordable housing options and majorly attracts working professionals because of its proximity to Noida Sec 62 (IT Hub of Noida) and Delhi.
Central Noida comes under Noida and is considered as a sub-city of Noida. Sectors that fall under central Noida are sector 1- sector 41 and from sector 50 to sector 122. Central Noida has developed earlier and many families are residing there, however it is quite expensive if we compare it with Noida Extension.
Comparing these two locations is like comparing Apple with Oranges. Here Central Noida is apple and Greater Noida West is orange because central Noida any day would be better than Noida extension in terms of everything like Malls, metro which connects Noida with Delhi, Greater Noida and Gurgaon, employment opportunity with sector 62 & 63 the IT hub of Noida, Atta market for local shopping, restaurants and so on and so forth, the list could go on and on.
On the other hand, Noida extension is developing, most of the projects are under construction and the nearest operational metro station is at Sector 51 which is about 9 kms away. The approved and upcoming Aqua line which will start from Metro station Sector 51 to Knowledge Park V. You’ll get 9 or 11 malls in a straight line starting from Kisan Chowk to crossing republic.
Let’s compare Central Noida and Noida Extension with an example to understand what makes more sense from an investments prospective;
Project 1– 7th Avenue, Gaur City, 16C near Kisan Chowk, Greater Noida West, U.P.
Project 2– Supertech Supernova, Sector 94, Noida, U.P.
BASIS | 7th Avenue, Noida Extension | Supernova, Noida |
Infrastructure | Modern Living infrastructure which includes clubhouse, swimming pool, gaming zone, etc. | Modern Living infrastructure which includes clubhouse, swimming pool, gaming zone, etc. |
Nearest Metro Station with distance (in Km) | Sector 51 Metro station (6.9 Km via Vikas Marg) | Botanical Garden station (4 Km) |
Nearest Mall with distance (in Km) | Gaur City Mall (850 m) | GIP Mall (4.5 Km) |
Nearest Hospital with distance (in Km) | Shri Ram Singh Multispeciality hospital (5 Km) | Kailash Hospital (6.5 km) |
Average price of 2 BHK (in Rs.) | 45 L | 1.3 Cr |
Average Rental Price of 2BHK (in Rs.) | 12000 | 35000 |
Average Rental Yield (in %)* | 3.2% | 3.18% |
* Rental Yield= [(Monthly rent *12)/ Price of property]*100
Above calculation shows it’s in terms of rental yield a location like Greater Noida West makes more sense since it offers better rental yield while reducing the risk, an investment of 45 lacs is much easier and you would be able to liquidate the property much easily in comparison to liquidating a property worth 1.3 Cr, additionally if we include stamp duty into the picture which again would be much higher for a more expensive property then a more affordable location like Greater Noida West.
Which location is better in terms of investment and gives a higher return.
- Price 5 years back in 2017 (source 99acres & magicbricks)
The average price was 3700/ sq ft in Kisan Chowk, Noida Extension and 12300/ sq ft in sector 94, Noida.
- Price in 2022
The average price in Kisan Chowk, Noida extension is 4800/ sq ft and 10450/ sq ft in sector 94, Noida.
Consider a 2bhk area- 1000 sq ft.
2BHK Prices (in Rs.) | Kisan Chowk, Noida Extension | Sector 94, Noida |
Prices 5 years back (Dec-2017) | 37 L | 1.23 Cr |
Prices now (Dec-2021) | 48 L | 1.04 Cr |
Difference | +11 L | –0.19 L |
In Noida extension prices are increased by 29.72% whereas in Noida sector 94 prices are reduced by 15.44%. It is clear that there is good price appreciation in Noida extension.
- Rental Yield 5 years back in 2017 (source primary data, friends lived there before)
The average price of 2 BHK in Gaur city, Noida Extension and sector 94, Noida is Rs. 37,00,000 and Rs. 1,21,00,000respectively.
The average rental price of 2 BHK in Gaur city, Noida Extension and sector 94, Noida is approx. Rs. 10000 and Rs. 22,000 respectively.
- Rental Yield in 2022
The average price of 2 BHK in Gaur city, Noida Extension and sector 94, Noida is Rs. 40,00,000 and Rs. 1,00,00,000respectively.
And the average rental price of 2 BHK in Gaur city, Noida Extension and sector 94, Noida are Rs. 15000 and Rs. 32000 respectively.
Rental Yield (2BHK) | Kisan Chowk, Noida Extension | Sector 94, Noida |
Rental Yield 5 years back (2017) | 3.24% | 2.18% |
Rental Yield Now (Dec-2021) | 3.51% | 3.84% |
Difference | 0.27% | 1.66% |
It is clearly visible from the above comparison that Noida is a better option in terms of investment because the rental yield in Noida is higher than in Noida extension. In 2017 it was 2.18% and 3.84% in Dec 2021, there is an increase of 1.66% whereas only 0.27% increase in Noida Extension.
Conclusion
Both Noida and Noida Extension are good for investment and end use, it just depends on you which location is more fulfilling your needs and wants. Look, Noida Extension gives you affordable housing options with all the services, amenities and facilities such as Shopping malls, complexes, Schools, hospitals, public transportation, wide roads, metro and so forth.
Whereas Noida is better developed in terms of metro connectivity and location connectivity as it connects to Delhi, Gurgaon and Faridabad via metro. You get all the facilities as you’ll get in Noida Extension but at a higher price.
Now which one is better? On the basis of above calculation the answer is Greater Noida West because;
- The return of investment is higher here.
- There is 29.72% of price appreciation.
- Once Aqua line metro operational here then it will boost the location.
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